Who Can Consumers in NSW Turn To If They Feel “Gouged” by Retirement Village Contracts?

According to last night’s 7.30 Report on ABC, older people moving into or out of a Retirement Village often face steep costs and a confusing minefield of financial provisions that could leave them and their loved ones at a loss. If you have concerns about Retirement Villages fees, charges or contracts in NSW, Seniors Rights Service can assist you.?

Deciding to move into a retirement village is meant to be the beginning of a safe and happy phase of life, with a range of health and community benefits attributed to this form of living.

Yet often, moving into a retirement village is not the last word on the living arrangements for an older person as their circumstances may change. For example, an older person may need to move in order to receive a higher level of care to support their health needs, or they may also wish to move closer to family.?

Yet the decision to move out of a retirement village can come with significant financial burdens that residents and their families are often unaware of and are unprepared for.?

Australia-wide more than 250,000 older Australians live in retirement villages, so it is an important part of the range of housing options available for older people. ?

The ABC’s investigation has revealed that many complaints arise when a retirement village resident seeks to move from their home and find themselves facing significant exit fees, refurbishment costs, plus other sales, maintenance and administrative costs. These exit costs will also apply, and even continue to accrue, if a resident dies.?

For Seniors Rights Service, the biggest take away from the 7.30 Report investigation is confirmation that moving into a retirement village is a very complex process. Any person looking to move into a retirement village should obtain independent legal advice on their retirement village contract. It might appear similar to other processes, such as buying or renting a home or taking out a mortgage, but the devil is in the detail.?

Before entering into a contract to move into a retirement village it is a good idea to take stock of the following:?

1. What are your rights and obligations under the contact, including the ability to establish a residents committee??
2. How can you raise issues or disputes with the management of the retirement village??
3. What are the ongoing ?charges for living in the retirement village? ?
4. How can greater levels of supportive care be delivered within a retirement village??
5. What are the financial impacts of leaving or transferring to a new village??

Some information on these and other questions relating to Retirement Villages are answered in the Seniors Rights Service video on this topic.??

Seniors Rights Service has a free and confidential legal advice service that can help you understand what is involved, and to sort through and understand issues that arise if you decide to move out of a retirement village.?

Based on the experiences of the older people we support, Seniors Rights Service also makes recommendations to decision-makers to improve the protections available to older people, including the residents of retirement villages.?

You can call us on (02) 9281 3600 if you have concerns about a retirement village contract in NSW.?